MicroStrategy Tops Bitcoin Stash With $2B BTC as Holdings Record 100% ROI

The business intelligence firm and largest corporate holder of bitcoin (BTC), MicroStrategy, has increased its holdings by purchasing thousands of bitcoins for more than $2 billion.

According to a press release, the company bought 27,200 BTC for $2.03 billion in cash at approximately $74,463 per coin between October 31 and November 10, 2024. As of November 11, the business intelligence firm held 279,420 BTC acquired at roughly $11.9 billion at an average of $42,692 per coin.

MicroStrategy Buys Additional 27.2K BTC

MicroStrategy revealed that it raised the funds for the bitcoin acquisitions by issuing and selling MSTR shares. In early August, the firm entered into a sales agreement with several companies, looking to raise $2 billion from time to time by issuing and selling its class A common stock at a value of $0.001 per share.

On October 30, MicroStrategy unveiled another sales agreement that will enable it to raise $42 billion over the next three years to acquire additional BTC and improve shareholder yield. The agreement entails a 21/21 strategy that involves raising $21 billion via fixed-income securities and another $21 billion through at-the-market (ATM) offerings.

Between August 1 and November 10, the company issued and sold 7,854,647 MSTR shares and used the proceeds to buy BTC. With the latest purchase of $2.03 billion BTC, MicroStrategy said it has exhausted the August sales agreement and will execute further ATM sales of shares under the October sales agreement.

Notably, MicroStrategy’s shareholder BTC yield from October 1 to November 10 was 7.3%, while the yield increased to 26.4% from January 1 to November 10.

MicroStrategy Over 100% in Profit

The business intelligence firm’s latest BTC acquisition comes as the value of its holdings exceeds $22.98 billion, with a return on investment of more than 100%.

Bitcoin’s surge to $74,000 at the end of October put MicroStrategy’s unrealized gains at $8.3 billion; however, the leading digital currency’s rally above $82,000 following Donald Trump’s victory at the United States presidential elections has increased the unrealized profit to more than $11.08 billion.

Interestingly, MicroStrategy’s founder, Michael Saylor, says the company has no plans to sell its BTC. Instead, the firm is on the path to becoming a Bitcoin bank, which will acquire BTC with borrowed funds but not lend them out as traditional firms do.